New on time initiatives (Reuters article) begin in Jan
#91
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Real quote, or apocryphal? Would love a source, if the former.
#92
Join Date: Feb 2009
Location: CLE
Programs: UA 1K MM, DL Plat
Posts: 982
Super rebooked me on a flight to LGA, called the gate to let them know I was running over, since departure was only ~15 minutes later, and when I got to the gate, they had my BP and a bag tag waiting, since overheads were full and the super told them I had a rollaboard.
I was floored. It's pretty remarkable what a positive attitude can do, and UA's initiatives here aren't going to help much until that staff culture turns around.
#93
Join Date: Apr 2012
Programs: UA DL AA WN VX AS
Posts: 33
#94
Join Date: Apr 2011
Posts: 3,394
I think why DL can be more on time comes down to a seemingly unrelated thing.
DL has a much lower debt ratio as well as net debt.
So DL for the most part owns their planes outright where UA is still making payments.
It's a lot cheaper to park a fully paid for plane as a spare than one that you're still making payments on. So more fully paid planes = equal more spares = better OT/completion.
Obviously it's a bigger commitment by DL than just parking spare planes but that can be a lynch pin in the strategy that makes the other investments like parts and crews more financially palatable.
DL has a much lower debt ratio as well as net debt.
So DL for the most part owns their planes outright where UA is still making payments.
It's a lot cheaper to park a fully paid for plane as a spare than one that you're still making payments on. So more fully paid planes = equal more spares = better OT/completion.
Obviously it's a bigger commitment by DL than just parking spare planes but that can be a lynch pin in the strategy that makes the other investments like parts and crews more financially palatable.
#95
Join Date: May 2013
Posts: 3,361
I think why DL can be more on time comes down to a seemingly unrelated thing.
DL has a much lower debt ratio as well as net debt.
So DL for the most part owns their planes outright where UA is still making payments.
It's a lot cheaper to park a fully paid for plane as a spare than one that you're still making payments on. So more fully paid planes = equal more spares = better OT/completion.
Obviously it's a bigger commitment by DL than just parking spare planes but that can be a lynch pin in the strategy that makes the other investments like parts and crews more financially palatable.
DL has a much lower debt ratio as well as net debt.
So DL for the most part owns their planes outright where UA is still making payments.
It's a lot cheaper to park a fully paid for plane as a spare than one that you're still making payments on. So more fully paid planes = equal more spares = better OT/completion.
Obviously it's a bigger commitment by DL than just parking spare planes but that can be a lynch pin in the strategy that makes the other investments like parts and crews more financially palatable.
The encumbrance of airplanes does impact fleet decisions. Airplanes with a lower-cost of ownership (e.g. owned, older-vintage airplanes) can provide variable capacity with more airplanes parked during off-peak days and seasons. Leased airplanes have high fixed costs and do not provide efficient variable capacity. Owned airplanes, levered or not, provide more efficient variable capacity. Spare airplanes should be viewed more of an opportunity cost. Many spares are cycling in or out of maintenance and would be unable to otherwise operate a full schedule. Some airlines maintain hot spares, dedicated aircraft parked and ready to go into service. Deciding to keep a hot spare is not as much about the cost (debt service is relatively minimal), but the opportunity cost of not generating revenue.
I would point out that when comparing the impact of leverage on fleet strategy, the total amount of debt is less relevant than how the debt amortizes and must be paid back. Delta and United's debt service is comparable: $1.3B/year for United vs. $1.2B/year for Delta. United does have more aircraft on lease than Delta (in part a function of how its regional fleet is structured). Ultimately, the number of leased aircraft in United (or Delta's) fleet is quite small and the cost of the leases doesn't materially impact the decision to keep spare airplanes.
On-time performance is more impacted by the different crew contracts, philosophies on fleet deployment and operating airports.
#96
Join Date: Mar 2015
Location: Austin, TX - AUS
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+1, and an anecdote. I misconnected on AA flying to HPN a month or so ago at ORD. I have zero status with them -- nada. Made it to the gate right at departure time, and they'd already closed up. Gate agent walked me over to an adjacent desk on concourse G where there was a supervisor.
Super rebooked me on a flight to LGA, called the gate to let them know I was running over, since departure was only ~15 minutes later, and when I got to the gate, they had my BP and a bag tag waiting, since overheads were full and the super told them I had a rollaboard.
I was floored. It's pretty remarkable what a positive attitude can do, and UA's initiatives here aren't going to help much until that staff culture turns around.
Super rebooked me on a flight to LGA, called the gate to let them know I was running over, since departure was only ~15 minutes later, and when I got to the gate, they had my BP and a bag tag waiting, since overheads were full and the super told them I had a rollaboard.
I was floored. It's pretty remarkable what a positive attitude can do, and UA's initiatives here aren't going to help much until that staff culture turns around.
So the CDG-DFW flight finally parked at a gate over an hour late, and that caused us to miss our DFW-AUS connection. We talked to 3 different agents and each one told us to go elsewhere, basically their attitude was "it's not my problem". Finally we found an agent who rebooked us on a later flight to AUS. My parents fly UA regularly and whenever they miss a connection UA automatically rebooks them on the next flight, no need to see an agent. As far as my parents are concerned, UA >>> AA in dealing with IRROPS. I used to fly AA most of the time, now I shop around for the best deal.
So DL for the most part owns their planes outright where UA is still making payments.
It's a lot cheaper to park a fully paid for plane as a spare than one that you're still making payments on. So more fully paid planes = equal more spares = better OT/completion.
Obviously it's a bigger commitment by DL than just parking spare planes but that can be a lynch pin in the strategy that makes the other investments like parts and crews more financially palatable.
It's a lot cheaper to park a fully paid for plane as a spare than one that you're still making payments on. So more fully paid planes = equal more spares = better OT/completion.
Obviously it's a bigger commitment by DL than just parking spare planes but that can be a lynch pin in the strategy that makes the other investments like parts and crews more financially palatable.
#97
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Join Date: Jun 2005
Posts: 57,610
I was in the AA concourse at ORD late Sunday night kibitzing as 250+ pax waited out a mech delay on an ORD-LHR 777. A four- or five-hour hold turned into a cancel as the crew timed out around 1100p. But there were maybe five AA managers working the crowd (in addition to the regular GAs) with vouchers, constant updates / advice over the PA, news about baggage being returned and hotel shuttle bus logistics, AA employees approaching upset customers and calming them down before emotions could flare, at least one AA person who spoke other languages... it was about the best way they could have handled a bad situation.
Point is, injecting leadership, authority, and empathy improves things dramatically.
I have not seen anything like that at a UA gate in years. Generally the opposite. Flight cancels, staff flees, good luck.
Point is, injecting leadership, authority, and empathy improves things dramatically.
I have not seen anything like that at a UA gate in years. Generally the opposite. Flight cancels, staff flees, good luck.
Contrast that with a memorable post merger experience at IAD on UA. Our plane goes MX because of a broken FD window. Many of us on the flight are connecting internationally in ORD. Two harried GA's trying to work the situation at the gate, and two UA CSRs and one manager watching from across the concourse - not lifting a finger to help their colleagues or muster some additional help.
#98
Join Date: Feb 2008
Programs: 6 year GS, now 2MM Jeff-ugee, *wood LTPlt, SkyPeso PLT
Posts: 6,526
I can recall at least 20 times flying pmUA where we got an A/C sub. Often it was an upgage as UA kept a larger spare around. My SFO-ORD on a 757 became a 763 international, my SFO-DEN became a 772. United's fleet usage rate was lower because they kept a spare around. That costs $$$, but less if one has depreciated owned A/C.
I've only had it happen once on DL, my 757 flight became a 763 flight an hour before leaving ATL, MX and that was the spare they had. I got home OT.
CO never did this, it tried to get as much use out of its leased/new A/C as possible. This same strategy was used by CO in the merged airline, but often then with the A/C ending up at hubs w/o maintenance for that type of planes (an airbus ended up at IAH overnight, a 738 ending up at ORD or SFO or DEN) and with no spares.
There are many causes of the very poor operational performance at UA, but this is one of them.
#99
Join Date: Apr 2011
Posts: 3,394
If DL stashes planes in LAX/SEA/SLC/MSP/DTW/ATL/NYC and maybe a few other random places, they have a plane only a few hours away from anywhere in the US/CA
If UA stashes planes in EWR and SFO and no where else (I'm sure there are more places but just as an example) it takes a lot longer to get to the place it might be needed.
#100
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UA: 'Delta is Running a Very Good Airline and We Want to Equal That.
I thought this was a very good article on UA finally owning up to the fact that Delta is simply a better run airline and that they want to equal them, not do better, but just equal. I thought that must have been very flattering for Richard Anderson to read if he hasn't already.
http://www.flyertalk.com/articles/un...eputation.html
“Delta is running a very good airline, and I want to equal that,” United Vice President of Network Operations Tracy Lee told Reuters.
http://www.flyertalk.com/articles/un...eputation.html
“Delta is running a very good airline, and I want to equal that,” United Vice President of Network Operations Tracy Lee told Reuters.
Last edited by DL2SXM; Sep 3, 2015 at 9:44 am
#101
Join Date: Jan 2005
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talk about a lack of vision...
I thought this was a very good article on UA finally owning up to the fact that Delta is simply a better run airline and that they want to equal them.
http://www.flyertalk.com/articles/un...eputation.html
“Delta is running a very good airline, and I want to equal that,” United Vice President of Network Operations Tracy Lee told Reuters.
http://www.flyertalk.com/articles/un...eputation.html
“Delta is running a very good airline, and I want to equal that,” United Vice President of Network Operations Tracy Lee told Reuters.
#103
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Nothing but empty words, considering that UA just decided to close its two best call centers (HNL and DTW).
UA marketing has come completely untethered from reality.
UA marketing has come completely untethered from reality.
#105
Join Date: Jan 2014
Location: ORD
Programs: UA 1k, SPG Plat 100
Posts: 619
There's something very wrong with saying one thing and doing another. Execution details on *how* they're going to improve ops performance have been somewhere between "vague" and "counterproductive".